Thai SEC crackdowns on unlicenced crypto operators

The Securities and Exchange Commission of Thailand (Thai SEC) has declared war on unauthorised digital asset services, aiming to safeguard investors from financial pitfalls.

Pornanong Busaratrakul, Secretary-General of the Thai SEC stated that at the meeting on April 19, it was resolved to order the SEC to submit information on unauthorised digital asset service providers to the Ministry of Digital Economy and Society.

“Proceed to block access to the platform of the said service provider.”

Governments worldwide are joining the fight against crypto-related crimes. India recently mandated registration with the Financial Intelligence Unit for crypto players, echoing concerns over money laundering and scams.

Crypto transactions’ anonymity has made them a playground for miscreants, leading to widespread financial losses. As the sector integrates with global financial systems, governments are ramping up oversight to curb misuse.

Popular platforms like ByBit and OKX operate in Thailand but the authorities are cracking down on unapproved services. The Thai SEC warns citizens against using unlicenced operators, emphasising the lack of legal protection and the risk of scams.

Thailand’s move comes amid a surge in crypto popularity, with an estimated 13.02 million Thais owning cryptocurrencies. However, the government is wary of the financial damage caused by crypto crimes.

In August last year, over 200,000 Thai nationals fell victim to Facebook crypto scams, losing a staggering 10,000 million baht, reported Gadgets 360.

Thai authorities are determined to prevent further exploitation of crypto assets within their borders.

In related news, regulatory bodies are rallying together to develop stringent rules to monitor the buying and selling of cryptocurrencies via peer-to-peer (P2P) transactions.

These authorities have observed that fraudsters, seeking to cover their tracks after illicit activities, tend to use cryptocurrencies purchased P2P.

The Securities and Exchange Commission (SEC) is being urged to revise or create regulations related to digital assets, to oversee P2P activities and curb the avenues available to online scammers.